From keeping mosquitos out of your back yard and hanging Christmas lights on your house, to garage organization and luxury doggy daycare, it seems there is a franchise for everything. And when it comes time to sell your business, there are franchises that specialize in that too.
So, should you consider using a franchise to help you sell your business?
What are the benefits and drawbacks?
At MidStreet, we’re known for the sale of businesses with revenues between $1 million to $25 million which means we may not be the best fit for everyone. However, we’re big believers in small business.
Over 20 years ago, I started out selling main street businesses (under $1 million in revenue). In fact, I owned several franchise territories for the largest business broker franchise in the world.
Bottom line... I understand the franchise business broker landscape. I also understand how hard small business owners work and want to make sure every single one gets the help they deserve when it comes time to sell.
I also take referrals seriously. I've tried hard to make sure MidStreet only refers to business brokers across the U.S. that will treat small business owners with respect and who do a good job at main street business sales.
That’s why I've created a list of the top six brokerage franchises across the United States that have a good reputation for selling main street businesses.
Let’s get started!
The Best Business Broker Franchises
While the franchise system or “franchisor” may have a compelling website and listings compiled from their franchisees across the country, it's important to remember each individual brokerage office is independently owned and operated.
What does this mean for you?
It's extremely important to do due diligence well before listing your business with a local broker that’s part of a franchise system. If not, you may end up locked into a long-term contract with a business broker or business brokerage firm you don't like. Even worse, you may end up selling your business with less than desirable results.
Like every other profession, there are good business brokers and bad ones. In one city, a franchise may have an experienced, professional broker with several good listings. In another, you may find an inexperienced or unprofessional broker with very few listings. Due to the nature of the business brokerage profession, there are vast differences from one broker (or brokerage office) to the next. Quality is certainly not going to be consistent across the board.
With that in mind, in no particular order, here is our list of the top six business brokerage franchises in the United States:
1. Murphy Business Brokers
2. Sunbelt Business Brokers
3. VR Business Brokers
4. Transworld Business Advisors
5. First Choice Business Brokers
6. We Sell Restaurants
With the exception of We Sell Restaurants, all these franchises are "generalists". That means they sell businesses in a wide variety of industries. All offer some combination of common brokerage services including business sales, business consulting, franchise sales, commercial real estate sales, and business valuations.
1. Murphy Business Brokers
Founded: 1994
Headquarters: Clearwater, Florida
Locations: 38 states and Canada
Background: The Murphy Business Brokers franchise was started by Roger Murphy and is now led by Thomas Coba. While they primarily sell main street businesses with revenues under $1 million, Murphy has a few larger listings with asking prices of up to $10 million.
Murphy is primarily concentrated on representing sellers but also encourages their franchisees to work with buyers and help them find the correct business for their needs. Murphy Business Brokers is considered a "generalist" which simply means they sell businesses in a wide variety of industries. Murphy has business listings in retail, restaurants, distribution, home improvement, and fitness.
2. Sunbelt Business Brokers
Founded: 1978
Headquarters: Charleston, South Carolina
Locations: Brokers in 39 states and Canada
Background: The Sunbelt Business Brokers franchise was founded in 1978 by Ed Pendarvis in Charleston, South Carolina. In 2006, Sunbelt was acquired by investment group Merrymeeting, based in Cleveland, Ohio.
Since its founding, Sunbelt’s primary focus has been on providing brokerage services to main street business owners with revenues under $1 million, with a handful of larger listings of up to $10 million. Sunbelt sells a variety of businesses such as residential construction companies, civil engineering firms, restaurants, and cleaning companies.
3. VR Business Brokers
Founded: 1979
Headquarters: Fort Lauderdale, Florida
Locations: Brokers in 16 states plus Canada
Background: The VR Business Brokers franchise is led by Peter King and JoAnn Lombardi. They offer seller and buyer representation to help owners sell their businesses and help buyers purchase a new business.
VR primarily works with businesses under $1 million in sales price, but also has a few listings between $1 million to $5 million in sales price. Their listings include companies in marketing and advertising, education, auto glass repair, countertop fabrication and installation, and residential roofing.
4. Transworld Business Advisors
Founded: 1979
Headquarters: West Palm Beach, Florida
Locations: Brokers in 45 states
Background: Transworld is one of the larger franchises. The Transworld Business Advisors franchise was founded by Don and Bonnie Parrish and is now led by Andrew Cagnetta and Ray Titus. Andrew and Ray have grown the company to include more franchises while keeping a focus on brokerage and buyer services.
They primarily sell main street businesses with sales prices up to $1 million, and also have a few listings between $1 million and $10 million. They sell businesses such as custom home building, home care, transportation, and commercial printing.
5. First Choice Business Brokers
Founded: 1994
Headquarters: Las Vegas, Nevada
Locations: Brokers in 20 states
Background: The First Choice Business Brokers franchise was started by Jeffrey Nyman. First Choice is focused on assisting buyers and sellers in the process of purchasing or exiting a business.
They focus on selling businesses under $1 million in sales price with a handful of businesses priced between $1 million and $5 million. Examples of companies they represent include insurance, fitness, child care, photography, property management, e-commerce, and accounting.
6. We Sell Restaurants
Founded: 2001
Headquarters: Palm Coast, Florida
Locations: Brokers in 32 states
Background: The We Sell Restaurants franchise was created by Eric and Robin Gagnon. As their name suggests, they sell restaurants - so their listings consist of anything from coffee shops, sandwich shops, to seafood restaurants on the coast.
Since buying and selling restaurants can be nuanced, they have structured their services to buyers and sellers to the restaurant industry. While the majority of their listings are priced around under $1 million, they occasionally sell multi-unit operations and businesses priced between $1 million and $3 million.
Finding The Best Brokerage For Your Needs
Before choosing to list with any business broker, make sure you take the time to ask the right questions.
Don't be persuaded by claims such as "We're the largest" or "We sold more businesses than anyone else".
Or the claims that "We have several offices around the country and other offices refer buyers for your business". I promise you, it rarely happens.
In the end, the only thing that matters is the success of the individual broker you choose to work with. How many businesses have they personally sold. What size and in what industries? Do you like and trust them?
What other franchisees have done in other parts of the country is completely irrelevant.
To help you get started, we've put together a checklist with questions to ask brokers. The list will help determine if the broker is a good fit you and your specific business. To help you perform a thorough review of each brokerage you are considering, download the free checklist below.
Want a list of things to keep in mind when picking a broker?
Download our broker checklist below!
If you want to sell your business, but having difficulty determining who to trust, feel free to call us to discuss what brokerage may be the right fit for you.
Know Your Company's Worth
Prepare to sell by determining the value of your business.
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